Nauru asylum-seeker solution would cost at least $2 billion: Chris Bowen

LABOR says the Coalition's plan to process detainees on Nauru would cost $2 billion over four years while catering for just 750 people.

Nauru solution

LABOR has warned the Coalition's plan to process asylum-seekers on Nauru would cost more than $2 billion over four years while catering for just 750 boat people.

Following the collapse of talks on a bipartisan solution to the asylum-seeker crisis, Immigration Minister Chris Bowen today revealed he had sent an Immigration Department team to Nauru to cost the reopening of Australia's detention centre there.

He said the estimated cost of operating the centre on Nauru had risen to $1.7bn, up from $979 million, while another $316m would be needed to repair the run-down centre.

The centre would initially be able to host 400 people, with that figure rising to 750 as repairs were completed, Mr Bowen said.

"If this remains the policy of the opposition, of course, they will need to account for the cost in addition to their existing budget black hole," he said.

Mr Bowen said the Coalition had revealed during talks it had been unable to secure agreement from a third country to take refugees from Nauru.

"The vast majority of people processed on Nauru found to be refugees would be settled in Australia. That is not an effective deterrent," he said.

Labor offered to re-open the Nauru centre earlier this month in exchange for the Coalition support for its Malaysia Solution.

But opposition immigration spokesman Scott Morrison said the Coalition would never support the "illegal" Malaysia policy, which was struck down by the High Court.

"The government needs to put forward good policy," he said.

"We will support good policy. The Malaysian people swap is bad policy; it is cruel policy."

Mr Morrison has released a series of letters between himself and Mr Bowen in which the Coalition rules out any prospect of swapping support for Malaysia with support for Nauru.

But Mr Bowen attacked the Coalition over its policy of turning back refugee boats, arguing it was irresponsible.

"This has been condemned by UN High Commissioner for Refugees," he said.

"Indonesia has made it clear consistently that it would not co-operate with this policy, and that it would endanger the cooperation we already have with Indonesia on people smuggling issues."